>> fox news digital politics editor and host of power play on fox news live. there you have it. the white house is a step back and let the senate roll with this could get what president obama said he wanted which is a deal on immigration reform but instead the message we got out of the white house yesterday and you heard it there is i think it's important. the white house believes it is important before we let this

moment pass to acknowledge that this is happening because of the president and his significant leadership on this. they just wanted to take a moment to pause and tell us how important it was that president obama gets the credit. that's what jay carney said. how does that help what we are seeing unfold right now which is a deal with republicans on capitol hill. how does this help or not? >> it does not help. it far from helps. the speech today we expect would not help either. that is why we saw that report from the congressional hispanic caucus saying don't push the republicans too hard on this. if they are coming to the table let them come in and let them be there, because the president to his own thinking -- we talked about this just yesterday. the president's own way of thinking about what motivates republicans which he says is fear of certain cable news network and fear of conservative pundits and that they only oppose it because they are afraid -- they agree with it but they are afraid to do business with him.

for him to come out and take credit for this accord and then further what he is going to do today is come out and talk about more things that he wants. those are not the things that you do if you are trying to entice your opponents into deeper negotiations. if rush limbaugh doesn't like it or pundits on fox news channel don't like it, it hurts their chances. he thinks if i have my fingerprints on it they oppose me. why not stay out television. democrats and republicans came together and submit add real proposal. chuck schumer is optimistic this can get through. why not be quiet let it roll. see how it does. >> it has to be one of two things basically. it is that the president doesn't

want thit to pass as being stamd as a signature. we have seen politicians do that before. in this case if he wants the legacy he may endanger the regularly. he wanto do what democrats advi him to do. we have heard hints of and the idea is to divide and break the republicans break the fever as they say by offering something that makes them squirm and divide the republicans moderate against conservative and makes them look bad and gives democrats an opportunity to run on immigration with hispanic voters again. i would only submit humbly the fact that the bt wipresident wi include a gay marriage kind of provision in his proposed plan. it's a strong indication it's the latter not the former. >> you are saying the president believes a deal will get done

but would risk messing up the deal just to make the republicans look like terrible people by throwing in a so-called poison pill into the bill that's already going to be tough to pass but may have the support to do it but it's already going to be tough. you are saying he's going to put in a poison pill that will make it impossible for them to vote for it so they can say they are bad people. >> that's the most cynical reading. sometimes in washington you have to do your subjects the credit of doing the most cynical reading possible. the most cynical is the president wouldn't want it to pass in the sense that he wants it as a kudjal against republicans including gay marriage in this or the issue of gay marriage would be image if you would marco rubio coming out yesterday saying we have this bipartisan accord but by the way about planned parenthood or abortion. let's include abortion in this discussion. we will never bring a deal if you bring gay marriage into this.

it's a strong indication he's willing to take risks with the eventual passage of the legislation. >> we will see what he says when he unveils his own proposal. live from vegas. you heard even democrats and the hispanic caucus are saying please don't do this. yet he seems determined. so he will do that at some point in the next two hours. we will see it. chris, thanks. >> you bet. as we have mentioned the announcement from the 8 senators is the most significant bipartisan effort we have seen in such a long time on this. take a listen to the senators, two of them anyway involved talking about each other's grand efforts. >> i am going to turn it over to senator mccain in a minute. i want to say he has been the glue in our group. his wisdom, his strength, his courage and steadfastness, many other assets i will skip at the moment has been really inspiring to me and i think to all of us. >> i would like to thank senator

schumer for his leadership. i would like to thank the democratic leader dick durbin. there has not been any one in america who has fought harder for the so-called dreamers that dick durbin has. >> i thought they were going to embrace at one point. >> it's so rare that you see that kind of bipartisanship these days on capitol hill. that's why i say it's so wear and so tenuous and should the president be doing something to potentially risk that. let them go with it. let's see what happens. we will have a fair and balanced debate about that exact question and whether the president is putting a deal that is very important to a lot of people in this country at risk by a political maneuver. we will talk about it. >> we have new developments today on the big tax hike that congress passed a few weeks ago. it was supposed to target the rich. but as we have reported the tax increase actually affected all

three quarters of the united states. now we are learning it has affected so many middle class americans that consumer confidence is slipping. fox business network elizabeth mcdonald is here. >> this comes from the conference board consumer index. it's a really important index. the federal reserve tracks it economists on wall street track it. it did take a sharp drop in january. all of the positive gains in the index in 2012. what the top officials are saying is that consumers are more pessimistic about their financial situation and they are attributing it to the hike in the payroll tax. it has undoubtedly dampened consumer spirits us. the payroll tax was reinstated recently. what the board is saying is it may take a while for confidence to rebound. the conference board for consumer confidence is one of the leading economic indicators.

the confidence drop comes despite the improvement in the housing market despite the fact that auto sales annual high of 14 and a half million since the financial crisis and stops near all time highs as well. it's interesting consumers are pessimistic when they look at what's hap to go their paychecks. >> sure is. liz, thanks. for the first time since the controversial deal that netted him personally $100 million vice president al gore is defending his position for selling his network to an extremely anti-american views. what essay being his big sale to the al-jazeera and the confrontational interview he had with nbc's matt lauer. they are required to tell you about the rusty pipes and leaky roofs before you buy a house. this they require to do tell you if there was a murder or suicide

in the house you buy before you buy it. you will not believe the answer to this question in kelly's court. and famed writer david ma'am et starking a debate. he was left leaning but not so much any more. every american has a right to protect their family in the same way the president has to protect his. why that has some folks very angry. >> there are will be pundits and politicians and special interest lobbyists talking an all out assault on liberty, not because that's true, but because they want to jet up fear or higher ratings or revenue for themselves. [ fishing rod casting line, marching band playing ]

[ male announcer ] the rhythm of life. [ whistle blowing ] where do you hear that beat? campbell's healthy request soup lets you hear it... in your heart. [ basketball bouncing ] heart healthy. great taste. mmm... [ male announcer ] sounds good. it's amazing what soup can do. and i was told to call my next of kin. at 33 years old, i was having a heart attack. now i'm on a bayer aspirin regimen. [ male announcer ] be sure to talk to your doctor before you begin an aspirin regimen. i didn't know this could happen so young. take control, talk to your doctor.

>> for the first time since the cont voer shall business deal

that landed him a huge payday we are hearing from former vice president al gore on why he decided to sell his media company current tv to al-jazeera a network that expressed extremely anti-american views in the not too distant past in particular the arab wing he sold to al-jazeera english but they, too, have come under heavy criticism for anti-american alleged bias sees. take a listen to mr. gore's response when he was questioned by matt lauer about the sale of his network to al-jazeera on "the today show". >> even as you sold to al-jazeera you in the book blast other television news programs saying this, virtually every news and political commentary program on television is sponsored in part by oil, coal and gas companies not just in campaign seasons but all of the time year in and year out with messages designed to soothe and reassure the audience that everything is fine, the global

environment is not threatened. the critics jumped here is the guy who just sold current tv to al-jazeera getting undetermined amount of funding from the country of qatar that gets money from oil reserves. >> isn't there a contradiction in that. >> i understand the criticism. i disagree with that. al-jazeera has long since established itself as a really distinguished and effective news gathering organization. >> but funding from a company that bases its wealth on fossil fuels and fossil fuels are the enemy you target in climate change. isn't there a bit of hypocrisy in that. >> i get the criticism. i just disagree with it because this network has established itself. it is objective. it's in countries around the world. the climate coverage has been outstanding and expensive.

he was a congressional investigator and has been a political activist for over a decade now. wow. he gets the criticism. he just disagrees with it because al-jazeera is such a distinguished effective nuss gathering information whose climate coverage he likes. is that good for you? >> if this wasn't so dangerous it would be laughable. this is al gore making $100 million on the sale. that's what he personally is reported to have made, $100 million on the sale of his station current television to al-jazee al-jazeera. let that's what this is about. let's not talk about hypocrisy. i think it is ridiculous he would make that argument. i found it funny. he made 100 million bucks. let's call it what it is. >> lawyuer had him dead to righ. that sound bite that they put up

from al gore's book where he talks about how virtually every news and political commentary program on television is sponsored in part by oil, coal and gas companies and the evil of that. >> horrible. >> he is upset oil hassen e infe on news and political common reprograms. so then why would you sal to al-jazeera that gets all of the funding huge portion of its funding from oil from big oil in qutar. all he could say was i understand the criticism but i disagree with it. why? why do you disagree with it? >> he disagrees with it because he made $100 million. this sale is an outrage. i think people should be really up in arms. al-jazeera is about peace for the muslim brotherhood the mouth piece for hamas and al qaeda. they are dangerous operation. they are a propaganda

organization that sees the hatred boiling up against america and americans across the world especially in the middle east. that is what makes anti-americanism here in america is now in my opinion a very dangerous feature for all of us. >> al gentlemaned arab-- al-jaz arabic is problematic but when they hired a dateline correspondent he had to quit because of the anti-american bias at least that was in part the reason why he left. they haven't been picked up by any cable distributor in the united states. they couldn't get on the air. who should help them out? former vice president of the united states of america. >> he is 500 votes from being president of the united states. i think this is a very unamerican thing to have done to give al-jazeera a foot hold in the country is in my opinion

unamerican. >> does the rationale that he tried to offer other than -- i just disagree, is their coverage when it comes to environmental issues in his view has been outstanding and extensive. when he lamb basted the news organizations in his book he boo talk about how this network covers climate change fairly. he's upset about the influence of big oil in the news. does he now make himself the number one perpetrator of big oil influence in the news by this sale? >> absolutely. you have big oil buying current television. that is what it is. that is all it is. al gore can make whatever excuses he can hang his hat on or whatever he wants. the american people understand. al-jazeera arabic, al-jazeera english the american people don't care. al-jazeera is al-jazeera from

the american point of view. that's why the american people will reject this television station. i hope they have trouble staying on the air. >> what does it do to al gore's legacy? there are still people who love him and believe in his climate change fight and think he should have been president back in 2000. that exchange with matt lauer which is so telling does it do anything to his legacy? >> i think it does. when it comes from someone like matt lauer who is kind of an easy going interviewer. he is not the most con frn tationnal he bit into al gore in my opinion and showed the hypocrisy that is al gore. i do think al gore has devastated his legacy. when he was someone thought of in american history as walking away. remember back in 2000 what happened? he came within 500 points of winning the election. people thought highly of him and how he dealt with it and i think

he has destroyed that. >> i wonder if he was expecting that. he may have got more than he bargained for. matt lauer gave people a hard time unexpectedly in some cases but al gore got it today. >> a wounded warrior lost all four of his limbs while fighting in iraq. we have an amazing update after he received a double arm transplant. one of the most powerful anti gun groups is calling on the president to use the epa, doj, ajf and sweeping new executive orders to beat back the gun industry. show you the plan this group is promoting now.

>> brendan morocco. met you a few years ago. you were one of those guys who said you would do it all over again. how. help us understand that? >> it is a lot of pride. pride in serving. i loved my time in the army. i would do it all over again. it's one of those things that i am very proud of and i wouldn't give it up for anything. >> got to love him. incredible update on that incredible young man. 26-year-old brendan morocco. we met him as a wounded warrior who lost all four limbs in iraq. remember it was july 4th it was severely wounded warriors who were being helped by the tunnels and towers fund dags tunnels and towers.org who were trying to get these guys houses. today he's speaking out for the first time since under going a

dramatic transplant. our national security correspondent jennifer griffin has more of his inspirational story. jennifer? >> brendan morocco seated next to his surgeon is going home today talking about his new arms. >> it feels amazing. it was something i was waiting for for a long time. now that it finally happened i really don't know what to say. it's such a big thing for my life. it's just fantastic. >> he was given a double arm strans plant in december. this 26-year-old soldier was injured by a roadside bomb in 2009 in iraq. the most proud and unassuming guy. he has an amazing sense of humor. he came out of the surgery and says i love you to his mom. this is what he looks forward to

doing? >> driving. absolutely driving. i used to love to drive. it was a lot of fun for me. etch re i am really looking forward to getting back to that. becoming an athlete. one of my goals is to hand cycle a marathon. i would love to get back to that. >> hand cycle a marathon. the home that was built for him by a group called homes for heros in staten island was damaged hurricane sandy but is being rebuilt again. he is beginning to be able to move his arms slightly. his doctors say he will be able to tie his own shoe laces and eat with chop sticks but it will take a while. >> because the nerves regenerate at the maximum speed of one inch per month the therapy will continue for a few years. >> i think that he will be able to try and throw a football.

i don't know how -- if he will be hitting 60 yard runs like joe flack against the barackos but i suspect he will get there. i don't think there's really much that we are going to be much we are going to keep him from doing. >> they worked simultaneously in the surgery. the team practiced on cadavers four times in 18 months. brendan is only the 7th person in the u.s. to undergo an arm stra transplant. his parents got word he was injured while they were in church on easter sunday. today they say they don't look back only forward. >> thank you so much. i remember when they came in here all those guys and i asked, do you think that this experience having served sacrificed so much has changed you, changed your life perspective. they said absolutely it has. like what? we realize people take things

for granted. we try not to. i said like what? they said like their arms and legs. just being able to walk across the room. it gives you pause, doesn't it? you have to stop and think about what they have sacrificed for all of us sitting in the studio sitting in the office and sitting at home and don't have to go out there and fight the way goes guys did. they didn't have to do it they volunteered and they did it heroical heroically. we salute all of our wounded warriors and veterans every where. good for him and the brilliant team at johns hopkins as well. incredible institution. coming up a major financial publication this week declared that the birth place of ronald reagan's america's new greece describes ronald reagan's birth place as america's new greece. a mass of debt crisis squeezes illinois and causes a new credit downgrade. michael reagan has thoughts on that he's live just ahead.

the chilling case of a teenager accused of killing his own flesh and blood after watching a horror movie about a boy who murders relatives without remorse. more on that plus the disturbing 911 call. cal

>> egypt's president is saying the country could collapse in days. a waive of political violence broke out last tuesday. 60 people are dead. overnight thousands defied a curfew and rioted in the streets. many were chanting sloganses against morrisssi. they are saying he fail to do live up to the pro democracy ideals of the up rising that ousted mubarek. they got rid of one dictator and

wound up with nordic tate tore in power. >> there's a new fight over the second amendment and your right to self defense after an essay appears in news week under the headline, hands off your guns. it was written by someone who may surprise you. award winning playwright david mamet. he questions president's owe pigs on guns and every american should have a right to protect their family as the president does. the individual is not only best qualified to provide his own best defense he is the only wunl qualified to do so. his right to do so is guaranteeed by the constitution. president obama seems to understand the constitution as a set of suggestions he goes on. i cannot endorse his performance in office but he wins my respect for taking the steps he deems necessary from protecting his own family. why would he p want to prohibit me from doing the same?

juan williams political analyst and radio host of compass media network. >> david motheriamet playwright. something happened to david mamet. he sees not only his politics but the issue of second amendment rights as one of government controls where they don't be long. your thoughts? >> there was a piece in the new york times by liberal texas novel vis who says the same thing. he worries after a hurricane it was jam packed he thought people were getting prime mal. he thought it was right to have a gun during that situation. i think david mamet's suggestion since the president has protection he as a silian is the -- civilian is similarly due to have a gun. clearly the president, all kinds of presidents and their children

have protection because they are the focus of politics. that doesn't mean you and i can walk around lake that. >> i am sorry juan god bless you. the president and his family are due to the protection and we have the rights. we the rights because we got them because of the constitution. the constitution is there for government including the president to depefend our constitutional rights. i think what he is suggesting is right. it's hypocritical for a president of the united states who will enjoy lifetime secret service protection something relatively new it used to end after 10 years, for him to say to americans i have the right to this kind of protection but i am going to take your right away is hypocritical and it's wrong. >> hold on.

first the president is not making the case to take away anybody's guns. if he was a hypocrite it would be when he was in chicago as a private citizen he had a gun and was using the gun to protect his family and was now sailing don't have that for your family. that's not the case. when i think is whacky, he's the president of the united states. >> there's no question the president and his family are in a special circumstance. that also begs the question other individuals feel they are in a special circumstance for whatever reason. let me ask you this. he gets to an interesting point. i haven't heard anybody phrase this in this way. he writes the police do not exist to protect the individual. this isn't the -- we as individuals are guaranteeed by the constitution the right of self defense. this right is not the government to award us. they have never been granted it. >> correct. people miss the points we have

the rights because god gave them to us. if you read the declaration it is clear that our natural rights came from god. government was instituted to keep government from taking those rights away. what president obama said he doesn't think anybody should own a gun other than people in the government in the police or in the military. that is his personal point of view. as a la maker he took awdvocate for taking away the rights of people to have guns. it starts with rifles which are only responsible for about 300 homicides a year and not piss tales which are the larger problem and taking them out of the hands of criminals but the government seems to think you keep criminals from doing things are guns by disarming honest citizens. the playwright is right to worry in louisiana after hurricane katrina the police came in and

disarmed honest law abiding citizens which was literally their protection against harm and then only afterwards did the courts decide the police the government had violated those citizen's rights. >> just one second. he talks about the fees that the president feels he the president is best suited to determine his own needs and what's right for him as am i to determine what the rights are for me. no ar 15's which is a popular gun in this country. it was used in the newtown massacre but it is used and held by millions and millions at least hundreds of thousands of law abiding americans. >> so in the aftermath of newtown people beyond the united states there's widespread concern about the use of these weapons that are best intended for war other for some kind of military action. >> bologna.

>> you are basically pair rodding paranoia from the nra and gun owners because nobody is saying take away every gun. what they are saying is take a look at the type of weapon used to cause these massacres that are all too common in our society. >> but they are not common. in ci >> in cities like washington chicago there's so much murder. we are trying to say murder by gun is a national epidemic. >> this is part of the problem is bad information. juan you are putting out bad information. number one they are not all too common. rifles all forms of rifles were used in fewer than 300 homicides in the most recent year for which records are available. hand guns were used in about 9,000 homicides. >> i agree with you. i don't know why you are saying i am putting out bad information. there's too much murder. >> i own some of these rifles,

no they are not suited for the military. if you ask somebody out of the military ask my stepson in the marines would he take a semi automatic rifle that shoots that low powered cartridge not high powered cartridge. >> you talk to parents in newtown, here in dc whose kids get shot every day. oh it's a matter of a handgrip on this gun. we are talking about a society protecting itself. >> let me say -- >> megyn. >> let me say, we did watch some powerful testimony from one of the newtown parents yesterday right here who did not believe any more gun laws are the answer. the newtown parents they each feel however they feel. we saw people supporting president obama. here's a man the father of a 6-year-old boy he feels there are enough laws. he feels what david mamet says

criminals break the law what good will one more law do? that was his take. others feel differently. thank you so much. >> if you ever thought about buying a home listen up. realtors may be required to tell you about term mights and taxes? what if your home roy the scene of a murder suicide? do they have to tell you that? that is next on "kelly's court today. a vegetable vendetta is taco bell really targeting healthy snacks? is the food police forcing them to run for the corridor. living with moderate to severe rheumatoid arthritis

means living with pain. it could also mean living with joint damage. humira, adalimum, can help treat more than just the pain.

for many adults, humira is clinically proven to help relieve pain and stop further joint damage. humira can lower your ability to fight infections, including tuberculosis. serious, sometimes fatal events, such as infections, lymphoma, or other types of cancer, have happened. blood, liver and nervous system problems, serious allergic reactions, and new or worsening heart failure have occurred. before starting humira, your doctor should test you for tb. ask your doctor if you live in or have been to a region where certain fungal infections are common. tell your doctor if you have had tb, hepatitis b, are prone to infections or have symptoms such as fever, fatigue, cough, or sores. you should not start humira if you have any kind of infection ask your rheumatologist about humira, to help relieve your pain and stop further joint damag

>> double murder. >> court is back in session. a real estate twraransaction on house of horror. back in 2006 janet milken and her children were mourning the loss of her husband and decided to move closer to their family. they went to pennsylvania and shelled out 600,000 for a home. not long after closing a neighbor told ms. milken about the horrific murder suicide that happened in the home about a year earlier. she was shocked so she sued the former homeowners saying they had a duty to disclose the bloody history of the home. so far two courts ruled against her. she is seeking a hearing in pennsylvania's highest court.

welcome to you both. this is unbelievable to me. i look at the law pennsylvania real estate disclosure law. immaterial may effect the property but are not defects of the structure of the home. you need not disclose the existing of a group home next door, information that a crime occurred in the house like a murder suicide or information that a sexual predator lives in the neighborhood or right next door. none of that needs to be disclosed, mark? >> no, no. if the realtor did i would sue the realtor. under the law legally. forget about morally. legally it is capitalistic society. the realtor cannot disclose. i am moving for summary judgment because had the realtor disclosed he would have been violating the law in pennsylvania as it exists right now. the homeowners don't have to.

the reason they shouldn't is this whole slippery slope argument. murder you have to disclose under somebody's theory. how about rape, burglary. how about this is near a sewage plant and on a hot humid day you might be able to smell it? what about an ancient indian burial site close by? let the buyer google it. >> rape murder or peeping tom i would like to know all of that before i bought a home. as would ms. milken. >> the supreme court is actually whether there's a material defect that causes a significant

impact. they research do we have to disclose this. t to the people we are going to sell it to. they clflip the house. they wanted to know. they found out. >> they don't have to. they haven't sold it to the new buyers for 610,000 dollars. the supreme court is going to find. >> this widow comes to buy the house. they themselves thought it was relevant information. they knew it. they intentionally choose to cover it up. you are telling me she is out of luck? >> legally, yes. >> i talked about this with my wife. we want to get a killer deal on the house, again pun intended. the issue is legally do you have? do you have to legally? i have asked around and i have asked on facebook and twitter. most people would want to know and most people say they couldn't buy the house. that means your disclosure will

significantly decrease the amount of people that are willing to buy the arguably defective house. >> i am going to hold you over and talk about another case. remember this woman who claimed the house was haunted. we will show you the clip and talk about it next. stay with us. >> get out of my house. ♪ you know my heart burns for you... ♪ i'm up next, but now i'm sging the heartburn blues.

hold on, prilosec isn't for fast relief. cue up alka-seltzer. it stops heartburn fast. ♪ oh what a relief it is!

>> there was another case in which the renters tried to get out of their lease because they said the house haunted. we showed you the clip get out of the house the lights went on. that went to the people's court and the judge ruled against them saying you can't prove a house is haunted and you get get out of a lease because of it. >> exactly.

you can't walk me into the house and show me the ghost then forget about it. >> well, they did. >> you know what, though, the judge ruled appropriately in this case. there's a big difference between that and a murder suicide that impacts the children of that home. that's why they p wanted home. the children were terrorized by the kids in the neighborhood coming over for halloween telling them there was a grizzly murder inside the home. that is a significant impact in the value of the home and it's a material defect. the ghosts -- i am not buying it. >> on halloween her kids found out. she found out didn't tell her kids. the kids were told by the mean neighborhood kids on halloween. that's another bit of her trauma. mark in december of 1975 george and kathy lutz and kathy's three children moved into 112 ocean avenue in am mitt teeville. >> saw the movie. >> 13 months before they moved in a man shot and killed 6 members of the house.

after 28 days they left claiming paranormal men nom non. now they say none of that is relevant. you can't recover anything. you are telling me even in a case as extreme as that rur remediless as the buyer? >> that's the law. if you want to change the law let the supreme court make some type of change in that. i think the slippery slope argument which is in the opinion i read is the strongest argument. sexual offenders living nearby you have got to disclose that. it goes on and on. >> they say for how many years do you have to disclose. where do you draw the line? >> here in california it's three years. i think that's a reasonable standard. >> it's a little low to me. 20-years after the fact you don't want to have to disclose it it renders it worthless but this had been a couple years. just so you know you got to go to google and get a good realtor. a group home next door halfway

house, if it's haunted a crime occurred or if a sexual predator lives next door. >> unless the supreme court changes it. >> thank you. >> coming up one of the country's most powerful anti gun groups is calling on the president to use the epa, doj, atf along with others to beat back the gun industry. we will tell you their plan and talk about it. [ male announcer ] how do you make america's favorite recipes?

just begin with america's favorite soups. bring out chicken broccoli alfredo. or best-ever meatloaf. go to campbellskitchen.com for recipes, plus a valuable coupon. campbell's. it's amazing what soup can do.

brand new hour of the year america live. welcome everyone. i am megyn kelly. the de late begins on capitol hill tomorrow with the senate hearing. today one of the most powerful anti gun groups is calling on the president to pursue other avenues to put pressure on gun and ammo manufacturers.

a this munumber of agencies hav and could put the squeeze on the financial officers and companies that do business on them. here is a spokesman for the brady campaign to prevent gun violence speaking to fox a little earlier today. >> there's a whole host of things the executive branch can do none of which requires legislation and none of which comes close to a discussion of the second amendment. >> shannon joins us in washington with more. >> gun control advocates acknowledge they are not going to have an easy fight on capitol hill. they are urging the president to use executive powers to do things and direct federal agencies to do things they think congress won't. richard aborn once head of the brady campaign to end gun violence now head of the citizen as crime commission of new york says president obama has quote enormous power to act. says it may be necessary due to the pressure lawmakers are under not to enact tough new gun restrictions. >> the nra knows how to mobilize. their rhetoric will be extreme. they will scare their membership and threaten to take down any

member that votes in the affirmative for gun control. among aborn's proposal treating a task force within the justice department to track certain interstate gun traffic. his group backs micro scamping and allows bullet casings to be marked and traced. there is a move to push the environmental protection agency to regulate ammunition that contains lead. they say they don't have authority but there is internal disagreement about that. several groups joined together to sue the epa to force it to regulate led ammunition. senior council for the group says there's been a lot of political pressure on the epa from gun right groups. >> even though we have gotten the led out of paint and gasoline but led bullets are okay. doesn't make any sense to us. >> a bill to block the epa from regulating ammunition didn't get it from capitol hill but it has

been reintroduced in the house this year. >> all right, thank you. fox news alert, we have breaking news at this hour on a gun control story we have been following closely on america live. last week chicago mayor and former chief of staff to president obama rahm emanuel sends an open letter to several big banks pressuring them to cut off funds to firearm companies that don't actively get behind president obama's gun control efforts. he say get on board or -- these companies need to get on board or bank of america should just cut them off. today a response from texas senator ted cruz. he has just sent a letter to the ceo's of several gun manufacturers and to the banks. the letter is full of fiery language. he writes in part should mayor emanuel bullying campaign prove successful, i am confident there are numerous financial institutions in texas that would be eager to earn your business.

in the event it might prove helpful i would personally introduce you to their leaders. mayor emanuel is not the only politician now getting attention for using high pressure strong arm tactics in the gun debate that was supposed to involve a modest proposal that both sides could potentially agree upon. meet bill deblazio. he's the man who wants to be the next mayor of new york he has been attacking investment firms that had any dealings with the gun industry. if they invest in the gun industry they are on his list. can lawmakers legally appeal to banks and investors to cut off cash flow to hurt businesses simply to win a political argument or because those gun manufacturers won't get on board with their political argument. judge nepal tano -- napolitano is a news analyst. this is scary to me when you have someone who has the power of government behind them threatening private industry to

cut off relationships with law abiding entities. they are following the law it is just that they don't like their chosen business. you have the power of government pressuring them. is it even legal? >> the answer to the word is no. there are some well-known and not so well-known to prohibit this. one of the clauses is a contract clause. it basically says state governments or city or municipal governments that are formed in the state cannot interfere with contracts that are freely entered into that were lawful at the time they were made. because it is still lawful for gun manufacturers to manufacturer guns, and it is still lawful for banks to lend money to the gun manufacturers and still lawful for hedge funds

to invest in manufacturers it is unlawful for the government to interfere with that relationship. this is not rahm emanuel as a private citizen. >> that's right. that would be different. >> saying i don't like what you are doing with your investment so i am going to take my investment out of yours, this is the mayor of the city's second largest city -- the country's second largest city threatening to use the coercive power of the government to punish these corporations if they don't invest money if he wants them to and brings us to another clause of the constitution if they don't speak out the way he wants them to speak. >> that's where i want to go with this. i realize there is a sil claim that he might be guilty of violating. you can't interfere with someone's contractual relationship. let me ask you about first amendment speech. it is not the government trying to say you don't think like i think i am going to punish you.

that's not okay. if rahm emanuel tried to punish them what he is saying he is trying to punish them for not advocating the president's proposal. they don't see eye to eye on it so he wants them punished. >> the first amendment most can quote the words for them. the word congress since the civil war and the sild war amendment means no government can make any law of preaching the freedom of speech. the corollary of that is no government can force you to speak. you have a right to remain silent. you have a right to speak out as you see fit. for the government or city of new york if he becomes mayor to fun nish investment houses and banks and manufacturers because they don't say what the politicians want them to say is a blatant direct violation of first amendment rights enjoyed by individuals investors

corporations by everybody everything in the united states. >> think about how dangerous this is. if you had a pro-life politician who is running around to apartment complexes saying, i am not saying you can't rent to a woman who has had an abortion, but i am going to give you the list of all of the women who have visited planned parenthood on the days they provide abortions and i strongly encourage you to reconsider doing business with women who has had abortions as the mayor of chicago, i strongly encourage it. can you image the outrage in this country, judge? >> the left of which councilman deblasio and mayor emanuel are prime examples is only to willing to use the power of the government to enforce conformity with their wishes. they are no more interested in freedom than they are of jumping over the moon. interested in the end result but they don't care how they get there. they don't realize the power they use today against law abiding citizens who don't speak

if they want them to speak could be used five years from now against law abiding citizens who agree with them and force them to do things and say things they don't believe in. this is why the clauses were written in the constitution to guarantee an area of human behavior thought, speech, silence, commercial activity that should be immune from government interference and government bullying. >> we know there is a difference between a private citizen speaking his or her mind and the power, the power of someone who holds the office like chicago mayor or potentially new york mayor doing it they have a lot more authority and power to bully. that needs to be checked. thanks for being here. >> pleasure, megan. >> we have breaking news about a tornado outbreak today. tornado outbreak. this is very rare in january. she is putting together the details in the weather center and she will join us in three minutes. within the hour president obama expected to unveil a new proposal that could rewrite the nation's entire immigration system.

could his plan hurt or potentially kill the chances of the bipartisan efforts that are already underway in the senate right now? fair and balanced debate coming up. remember squeezey the so-called pension python threatening to bankrupt illinois, remember the illinois government put this out saying they weren't being to be able to pay their pension soon. squeezey got bigger and more dangerous. what is going on in the state where his father was born and how you might have to pay for it. a teen blame as hollywood horror film for inspiring the gruesome murder of his family. it is a potential link between violent media and violent acts. >> it is weird. i wasn't even really angry with them. it kind of happened. i have been kind of planning on killing for a while now.

>> the two of them or just anybody? >> pretty much anybody. i am pretty i guess evil.

we are dealing with a rare scenario in that we could see several foreitornadoes long lai long lived tornadoes in a big portion of the country. we are watching tornado watches from north ooets texas up to illinois. you can see where we have tornado watches meaning conditions are favorable for tornadoes. severe thunderstorm warnings just south and west of the dallas area. as we get into the overnight

this is where i am concerned. we could see these tornadoes fire up over night tonight where people are sleeping. noah weather radios need to be on. to see a moderate risk extending from from louisiana up to illinois and indiana is a rare event. all of these big cities involved. when you see a moderate risk it means we all of the confident all of the ingredients for severe weather including tornadoes destructive tornadoes could come together today, tonight and tomorrow as well. back to you. thanks. >> sometimes the government employers made smaller payments into the fund than they promised. the investments we made with that pension fund, the great recession hit those investments hard because people are retiring earlier and living longer and the cost of healthcare for retirees has soared. the pool of money is smaller though the demand on that pool is greater. leaving the current workers to

ask whether there will be enough in the fund when they are ready to retire. the problem is the squeeze. >> fan it is tick. that was squeezey the pension python the cartoon character introduced by the office of illinois governor pat quinn to raise public awareness about the state's growing pension problem. they owe more than they have in the coffers. legislate tours failed to enact any meaningful reform. this past weekend moody investor as service decided to downgrade to the lowest in the nation. just ahead in california they warn of a still negative outlook. all of this you may think i don't live in illinois it's not my problem. people in chicago can deal with this. not so fast. we are hearing reports in the

wall street journal the city of chicago is considering a move that would schiffed retiree health benefits they can't pay to you the federal taxpayer. michael reagan is chairman of the reagan group and also a political consultant. he is with me now. the idea is we can't afford it. we over promised. now i can't pay. am why don't we not pay for retiree healthcare costs put them on the federal exchange and they will be the problem of the american tax payer. >> there you go. 23 billion going to the owe bam p ma care exchange. the problem with that is if everybody else catches on to it it now rises to 1 and a half trillion dollars put on to the obama care exchange picked up with the tax payer. moody's downgraded illinois

equal with botswana and africa. do you think maybe the people of illinois would wake up that this needs to be changed? the problem in illinois as in california they are both owned and operated the state labor unions. until we do something about those state labor sun ons nothing is going to change. we are going to have to do what california does is ultimately file bankruptcy to shut itseshe itself of the $400 million of liabilities. >> rahm emanuel was one of the key people behind obama care and he leaves the federal government to run the city of chicago. apparently he loves obama care so much there's reportedly some consideration about moving all of these retirees on to those rolls instead of paying them, giving them the benefit that they were promised. to me michael this goes to the heart of it's great to get these promises of huge funds relatively speaking upon

retirement. they are meaningless if they are not worth the papers they are printed on. they have to be able to follow through. the to have the money. >> absolutely they have to have the money. go back to the original debate on obama care, megyn. who were the people supporting barack obama raem mhm emanuel o obama care? it was the unions supporting the of t president of the united states. now you understand why. they knew they were going to reach a fiscal cliff and they needed to find a place to dump off their pension funds, dump off their healthcare liabilities and they are finding a way to do it and they are finding it through obama care. all of this will pick it up. we tried to tell everybody tried to talk to the american people but people seem to always want to vote to put something in their pocket instead of the other way around. >> chicago pension funds are rejected to dry up before the end of the decade. now the mayor's commission which is a four-member panel in chicago issued a report

suggesting if they dump pre-med carry tire res on to the obama care exchange this could be great for retirees and the city taxpayers. would bebly would. what about the federal taxpayers. why should the people in the city who minded their p's and q's and balanced their budgets have to pick up the costs for these benefits that they didn't promise that they didn't receive anything in return for? is that fair? >> now tit is not fair but you don't see everybody yelling at you talk to fox. is it going to be covered anyplace else in the media? who will pick up the costs. you have a $275 million budget shortfall. that's 58,000 dollars per household. yet these people in illinois keep on electing the same people to represent them that represented them the last time around with absolute any no change. nobody in the state legislature

seems to want to come to the forefront and tell the unions forget it. we can't do this any more. look what's going on in nebraska. the governor getting rid of state income taxes. what's going on in indiana, what's going on in wisconsin. what's going on in ohio. what's going on even in michigan where they are learning to fight the unions if they want to save their state. illinois is passing off the costs of the rest of the american tax payer. if that's the case the american tax payer needs to learn what is going on. if they don't fight what's going on in illinois they will be paying for it in their own state. >> if this happened where else is it going to happen? illinois, chicago they aren't the only ones wto talk about this. if we wind up eventually having 11 million today illegal immigrants whatever legal american citizens then they, too, would be potentially available to take advantage of obama care. all of these people coming into

the obama carols what about keepi -- obama care rolls there is so many questions as we see the law take force in 2014. >> michael, thanks. >> we are awaiting obama's speech on immigration reform. we were hearing he was urged not to do this. he is going to do it anyway. by 2025 we could have 20 million jobs without enough college graduates to fill them. that's why at devry university, we're teaming up with companies like cisco to help make sure everyone is ready with the know-how we need for a new tomorrow. [ male announcer ] make sure america's ready. make sure you're ready. at devry.edu/knowhow. ♪ but i'm also on a lot of medications that dry my mouth out.

i just drank tons of water all the time. it was never enough. i wasn't sure i was going to be able to continue singing. i saw my dentist and he suggested biotene. it feels refreshing. my mouth felt more lubricated. i use the biotene rinse twice a day and then i use the spray throughout the day. it actually saved my career in a way. because biotene really did make a difference.

>> we have the 911 call that is showing the po tlings between violent media and violent acts sometimes. jake evans is facing murder charges in texas after gunning down his own mother and sister with a weapon he stole from his grandfather. then he called 911.

he told investigators he was inspired the 2007 remake of the hollywood slasher film "halloween." trace gallagher is live with an update. >> it is the most stunning 911 call i have ever seen or heard. you have 17-year-old jake ever vans precisely kind of detailing his crime not only in the 911 call that goes for 20 minutes but also in a four-page written confession and the reason he says he was inspired the movie halloween to kill his mother and his sister is because the lead character killed his family with such ease and little remorse. his plan was to go to his grandparent's house across the street and kill them and his older sister but instead he picked up the phone and called 911. >> it's weird. i wouldn't even really angry with them. it just kind of happened. i had been kind of killing for a

while now. >> the it would hawo of them or? >> pretty much just anybody. >> why? >> you heard the dispatcher typing. as the call went on he begins to explain more about the way he did it how he lured his 15-year-old sister. listen.

>> again this call went on for the better part of 20 minutes. eventually the dispatcher asked him if he is considering killing himself. he says no. listen. >> >> he stole the 22 caliber hand gun from his grandfather who lived across the street. he is being held on capitol murder charges without bond. >> obviously a disturbed young man. millions of people have seen "halloween" and not acted out violently in the wake of it. you hear these stories and you think, it's the pathetic nature of the people who commit these crimes. there's nothing strong about it

there's nothing -- it's disgusting and pathetic. trace, thanks. a lot of security experts believe that's how we need to be acting to all of these murders and mass murders that we see. there shouldn't be any lionzation of these guys the brilliant murderers. they are pathetic, weak, pathetic and they don't deserve a lot of air time. so we will move on from that. the immigration outline agreed to by the gang of 8 in the senate is one of the more significant bipartisan efforts we have seen sometime in we are see senators on the other side of the aisle showing a bit of brotherly love. >> i am going to turn it over to senator mccain in a minute. i want to ache has bessay he ha glue in our group, his courage his steadfastness and many other i will get in a moment. >> feel the love. you never see this on capitol

hill. could that love be put at risk by the speech the president is about to give? we will show you what's behind that question right after this break.

>> fox news alert on one of the top stories we are following today. president obama is about to announce his plans for u.s. immigration reform. we have published reports today

that democratic members have urged the president not to do this. he's about to. remember a bipartisan group of senators presented their plan for immigration reform yesterday. you saw it right here. there are worries a heavy hand could scare off some of the support. editor at large of the national review fox news contributor and president of gotham ghost writers. members of the congressional hispanic caucus who said to the white house just stand down. it's looking good in the senate. don't mess it up. then we had jay carney come out and say this. listen. >> i think it's important before we let the moment pass to acknowledge that the progress we are seeing embodied in the principles put forward by this bipartisan group is happening for a reason.

it is happening because a consensus is happening in the country a bipartisan consensus and happening because the president demonstrated significant leadership on this issue. >> it's important to acknowledge the president's leadership on the issue is the explanation. >> we are in a strange operation where obama was a champion of y bipartisansh bipartisanship. the only way you see bipartisanship work at this point is if he doesn't show any leadership really at all. jay carney episode was interesting it sounded like he was trying to ghetto bam ma to take credit for it. it is possible that what he was announcing is he is going to pull back from the process. the white house was actually writing legislative language and proposing its own actual ibill which is very rare.

he will cast his blessings on the bipartisan effort. he was radioactive among republicans. >> why does jay carney come out as we see the glad handing we never see hem back slapping and happy talking about issues of reform. 86 percent want to see it happen. why does jay carney say it is important to stop and acknowledge this is happening because the president demonstrated significant leadership? why must we do that now as we are on the edge of the deal? >> first of all we should be shocked a white house is taking credit for progress of bipartisansh bipartisanship. that's a bipartisan have atradi through out history. >> maybe once it's done but nothing is done. >> jonah is right contrary to how you framed it at the beginning, the white house is

listening on this. they were preparing a bill. members on both sides asked them to pull back and not put forward a bill. i think it is notable he is not outlining a plan he is going to outline specific ideas and principles because there is starting to be a center of gravity particularly in the senate. they are trying not to disrupt that. >> here's what i don't get. he spent days and weeks telling us that he believes as soon as he president obama gets behind something or comes out and advocates for something republicans don't want to do it because they don't like him. they don't like me so they might otherwise vote for an idea once i say it's good they don't want it. if he believe that is let them him be quiet and let it work its way up to him the way it normally would. >> one face saving possible explanation to all of this is jay carney is not very good at his job and it is entirely

possible he screwed up. >> president obama is about to speak in vegas on immigration reform. >> but he is not going to propose his own legislation. what the democratic senators were terrified of is obama was going to propose his own legislation the dem crass would be asked to rally around the president's plan and republicans would say if these were cast as the president's idea it's na nonstarter we are not going to follow the president on this. chuck schumer wanted to lead this and cut obama out of the process. obama sounds like he is getting himself be cut out of the process a little bit. >> if that is true why is he having an event in p vegas? >> if he weren't speaking out critics would be attacking him for not showing leadership. that is one of the things that is destruct tive they attack the president mercilessly and relentlessly and it looked extreme and overly political in the american people.

i think you are starting to see smarter voices like bobby jindal marco rubio even paul ryan saying we have to be a more loyal opposition. opposing the president when we disagree with him but looking for common ground when we can move the country forward. this is all irrelevant. as president clinton said in charlotte it's math. they got their clock cleaned 71 to 27 percent in the last presidential election. there is a necessity to act. >> okay. okay. >> republicans are not hostile to that. >> assuming that's true what is the best way to make it happen? is it for president obama to say i am a polarizing person for these repoub cans. when i say thi want it they don want it automatically. is it for him to say sometimes silence is golden and sometimes let the process layout. even chuck schumer thought he shouldn't be a part of he didn't tell him about the deal until two-days before he unveiled it or is it to come out and inject

himself in it a day after his press secretary says it's time to stop and say it's all about obama leadership. >> i think what carney said was a bad thing for carney to say. i agree with him the perception of the republicans is bad as being sort of automatically opposed to obama about everything. obama has been remarkably partisan president and given republicans little room in response. lbj once begged the new republic liberal magazine please stop saying nice things about me, you are killing me. i think we have the same attitude about president obama. he's an incredibly polarizing figure in the united states despite what the mainstream media says about that. >> love him or hate him. that's how he sees himself in the eyes of the republicans. he sees them turning on these issues just because he endorses it. that's the question whether it's a wise political move for him. power play begins this morning by saying the old axiom says

it's amazing what you can accomplish if you don't care who gets the credit. we will listen to the president today and see if this is about credit taking or just backing what we heard them unveil republicans and democrats in the senate yesterday. jonah, sam, thank you. let's stand by and listen to the president. (cheers) >> go dragons. let me especially thank your outstanding principal lisa premus. (cheers) >> there are all kinds of notable guests here. i want to mention a few. first of all our outstanding secretary of department of homeland security janet napolitano is here. our wonderful secretary of the interior ken salazar. former secretary of labor.

two of the outstanding members of the congressional delegation of nevada. your own mayor carolyn goodman. we also have the mayors that flew in because they know how important the issue we are going to talk about today is, rogers from aven dale, arizona. casime reed from atlanta, georgia. greg sam from phoenix, arizona. arch and ashley from fresno, california. and all of you are here as well as some of the top labor leaders in the country. we are grateful outstanding business leaders are here as

well. of course we have wonderful students here. those of you who want have a seat. i love you back. last week i had the privilege of being sworn in for a second term as president of the united states. during my inaugural address i talked about how making progress on the defining challenges of our time doesn't require us to settle every mistake or ignore every difference we may have but it does require to find common

ground and move forward in common purpose. some doe bates will -- debates e contentio contentious. the reason i came today is because of the challenges where the differences are dwindling where a broad concept is emerging. where a call for action could be heard coming from all across america. i am here today because the time has come for common sense, comprehensive immigration reform. now is the time. now is the time. now is the time.

(chanting) >> um here because most americans agree it's time to fix the system that has been broken for way too long. bess leaders, faith leaders, labor leaders, law enforcement and leaders from both parties are coming together to say now is the time to find a better way to welcome describing hopeful immigrants who still see america as the land of opportunity. now is the time to do this so we can strengthen our economy and strengthen our country's future. think about it. if we design ourselves as a nation of immigrants. that's who we are in our bones. the promise we see in those who

come here from every corner of the globe that has always been one of our greatest strengths. it keeps our work force young. it keeps our country on the cutting edge and helped grow the biggest economic engifrn known. it helped grow businesses like google andrea hue. created entire new industries that in turn created new jobs and prosperity for our citizens. in recent years one in four high-tech startups in america were founded by immigrants. one in four small business owners 'n including here in nevada speaking up and want to share the opportunity with other americans. we all know that today we have an immigration system that is out of date and badly broken.

it is growing our economy and strengthening our middle class. we have 11 million undocumented immigrants in america. 11 million men and women from all over the world who live their lives in the shadows. yes, they broke the rules. they crossed the border illegally. maybe they over stayed their visas. those are the facts. nobody disputes them. but these 11 million men and women are now here. many of them have been here for years. the overwhelming majority of individuals aren't looking for any trouble. they are contributing members of the community. they are looking families, looking out for their neighbors. they are woven into the fabric of our lives. every day like the rest of us they go out and try to earn a

living. off thten they do that in a shoe of the economy a place where employers may offer them less than the middle wage or make them work over time without special pay. when that happens it's not just bad for them it's bad for the entire economy. because all of the businesses that are trying to do the right thing that are hiring people legally, paying a decent wage. following the rules they are the ones who suffer. they have to compete against companies that before breaking rules. the conditions of american workers are threatened, too. if we are truly committed to strengthening the middle class and providing more opportunity for those who are willing to make it in the middle class we have to fix the system. we have to make business and every worker in america is playing by the same rules.

we have to bring the shadow of economy into the lights so everybody is held accountable businesses for who they hire and i am grants for getting on the right side of the law. that's common sense. that's why we need comprehensive immigration reform. (applause) >> now there's another economic reason why we need reform. it's not just about the folks who come here illegally and have the effect they have but it's about the folks who come here illegally and have a hard time doing so and the effect that has on our economy. right now there are brilliant students from around the world sitting in classrooms at our top universities learniearning degr engineering and commuter

science. once they finish the school once they earn the diploma there's a good chance they have to leave our country. think about that. intel was started with the help of an immigrant who studied here and stayed here. instagram was started with the help of an immigrant who studied here and stayed here. right now in one of those classrooms there's a student wrestling with how to turn their big idea, their intel or insta gram into big business. we are giving them the skills they need to figure that out. then we tell them to start those businesses and create the jobs in china or india or mexico or some place else. that is not how you grow industries in america. that's how i give new industries to our competitors. that's why we need comprehensive immigration reform.

now during my first term we took steps to try to watch up some of the worst cracks in the system. first we strengthened security at the borders so we could finally stem the tide of illegal immigrants. we put mer boots on the ground in the southern boerpders than any other time in our history. now they are down 80 percent near their peak in 2000. second, we focus our enforcement efforts on criminals who are here illegally and who endanger or communities. today de poefrt tation -- depor of criminals are at the highest level ever. third we picked up the cause of the dreamers the young people who were brought to this

country, too. young people who have grown-up here, built their lives here, have future here. if you are able to come here to go for an education we will let you work here and live leer heelhee here legally so you can have the dignity of knowing you be long. because this change isn't permanent, we need congress to act. not just on the dream act. we need congress to act on a comprehensive approach that finally deals with the 11 million undocumented immigrants who are in the country right now. that's what we need. (applause) the good news is for the first time in many years republicans

and democrats seem ready to tackle this problem together. members of both parties in both chambers are actively working on a solution. yesterday a bipartisan group of senators announced their principles for comprehensive immigration reform which are very much in line with the principals i proposed and campaigned on for the last four years. but this moment it looks like there's a genuine desire to get this done soon and that's very encouraging. but, this time action must go. we can't allow immigration to get bogged down in an endless debate. we have been debating this a long time. it's not as if we don't know technically what needs to get

done. as a consequence to help move this process along today i am laying out my ideas for immigration reform, and my hope is that this provide key markers to members of congress as we craft a bill, because the ideas that i am proposing have been traditionally accepted by john kennedy and president george bush. you don't get that match up very often. we know where the consensus will be. there will be rigorous debate about many of the details and every steak holder should engage in real give and take in the process. but it is important for us to recognize the foundation for bipartisan action is already in place. if congress is unable to move forward in a timely fashion, i will send up a bill based on my proposal and insist that they vote on it right away.

(cheers) so the principles are pretty straight forward. there are a lot of details behind it. we are going to handout a bunch of paper so everybody will know what we are talking about. but the principles are pretty straight forward.

>> if you are a citizen, you shouldn't have to wait years before your family's able to join america. youville to wait years [applause] if you want to pursue a career in science or technology or a

foreign entrepreneur who wants to start a business with the backing of american investor, we should help you do that here because if you succeed you will create american businesses and american jobs. you will help us grow our economy. you will hell us strengthen our middle class. that's what comprehensive immigration reform looks like. smarter enforcement, a pathway to earned citizenship, improvements in the legal immigration system so that we continue to be a magnet for the best and the brightest all around the world. it's pretty straightforward. the question now is simple: do we have the resolve as a people, as a country, as a government to finally put this issue behind us? i believe that we do. i believe that we do.